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| Topic: |
Business
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| Number of pages / Number of words: |
5 / 1256 |
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Case rejected due to his satisfaction with his current income and also lack of desire to enter what could possibly be a riskier product market in order to create a more competitive but less profitable business. The project was projected to cost $1.1 million, with $900,000 spread between the first two years...
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The expected yield in the first year was $1 million, with a 40% growth rate in years 2-4 and a 12% growth rate thereafter. It was projected to have a before-tax profit margin of 6%. With Mr. Case out of the picture it will be possible to pursue this opportunity and increase growth rates through reinvestment of earnings in related businesses instead of disbursement of dividends...
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